Insights

Is our organisation eligible for hedging instruments? Do leveraged options qualify for hedge accounting treatment? What is hedge effectiveness testing? What is hedge accounting? Our hedge accounting experts answer these and other questions. 

Joanna Mitchell Joanna Mitchell

Is Cash Performance Overlooked by Fund Managers?

Could it be true that several funds (including super funds) are all about appearing to beat the benchmark but not necessarily about achieving the best outcome? With regulators starting to examine practices in the various regulated sectors and asking questions about performance versus reality, is this another itch waiting to be scratched?

(Guest Post by Linley Scorgie, Likwidity)

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Kevin Mitchell Kevin Mitchell

IFRS 9 - Dynamic Risk Management (DRM) Overview

This post summarises recent discussions from the IASB's working group on the presentation and scope of DRM, a model designed to simplify and standardise the approach to dynamic interest rate risk hedging, particularly within the banking sector.

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Joanna Mitchell Joanna Mitchell

Asset-Backed Securities: The Kudos King

In corporate finance, ABS is not just a financial tool, it's a strategic move that can generate value on a grand scale, making it a crucial aspect of your professional toolkit.

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Joanna Mitchell Joanna Mitchell

3 Common Hedge Accounting Documentation Mistakes & How to Avoid Them

Proper hedge accounting documentation is not only suggested as best practice; it’s required under IFRS 9. The inability to abide by the proper hedge accounting standards can leave your business with disallowed hedges, an unclean audit opinion, and increased risks.

In this article, we’ll cover the 3 common hedge accounting documentation mistakes finance teams make and how you can avoid them.

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Kevin Mitchell Kevin Mitchell

Think Your Hedges Are 100% Effective? Think Again.

From our experience, most companies aren’t able to perform the proper hedge accounting testing. This leads to falsely assuming hedges are 100% and doing nothing, creating a ticking time bomb.

In this article, we’ll cover the importance of hedge accounting effectiveness testing and strategies you can use to test your hedges properly.

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Joanna Mitchell Joanna Mitchell

The HEDGEHOG Method: Your Secret Weapon to Simplifying Hedge Accounting

With the financial landscape continuing to evolve, it’s important that you have the resources and solutions in place to effectively manage your hedge accounting programs, minimise risks, and maximise compliance.

In this article, we’ll explore the eight pillars of the HEDGEHOG Method in more detail.

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Joanna Mitchell Joanna Mitchell

Hedge Accounting Unlocked: An Essential Guide for CFOs

Chief Financial Officers (CFOs) play a crucial role in safeguarding important financial metrics; however, they often need more hedge accounting support when reporting and maintaining the books.

As an experienced hedge accounting specialist who provides advisory and managed services to CFOs worldwide, I have firsthand insights into the intricacies CFOs must navigate. This is precisely why I wrote my book Hedge Accounting Unlocked: An Essential Guide for CFOs.

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Kevin Mitchell Kevin Mitchell

Why Internal Accounting Teams Fall Short in Managing Hedge Accounting Programs

Hedge accounting is a complex practice that involves managing risks associated with financial instruments and fluctuations in the market.

While internal accounting teams play a vital role in a company's financial operations, there are certain challenges they may face when it comes to running hedge accounting programs effectively.

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Joanna Mitchell Joanna Mitchell

Mastering Hedge Accounting: Exploring the 3 Types of Hedge Relationships

In the dynamic world of finance, managing risks effectively is crucial for companies to thrive. Hedge accounting is a powerful tool that allows businesses to offset gains or losses from financial instruments used to mitigate various risks. Here we explore the 3 types of hedge relationships that play a pivotal role in achieving financial stability and transparency.

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Joanna Mitchell Joanna Mitchell

EOFY Auditor Guide: How to Master Hedge Accounting Audits

Accurate financial reporting and identifying gaps within the hedge accounting program are critical for a successful end-of-year financial assessment.

To streamline the auditing process and ensure compliance, we’ve created a comprehensive 4 step guide specifically for audits involving IFRS 9 hedge accounting which provides auditors with a systematic approach to identify gaps and potential errors in financial records.

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Joanna Mitchell Joanna Mitchell

The Essentials of Hedge Accounting Unveiled

In the world of finance, understanding the fundamental principles of hedge accounting is crucial for your company's success. It's a complex process that requires meticulous documentation and analysis, but when executed correctly, it provides an accurate reflection of your financial position and performance.

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Joanna Mitchell Joanna Mitchell

Outsourcing Hedge Accounting: Work Smarter not Harder

As a Chief Financial Officer, you understand that managing financial risks is a top priority. From determining the right type of hedge accounting to navigating complex accounting standards, it can feel overwhelming at times. That's where outsourcing hedge accounting becomes a game-changer for businesses of all sizes.

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Joanna Mitchell Joanna Mitchell

5 Useful Hedge Accounting Tips Every Treasury Accountant Should Know

As a financial accounting professional, you are likely familiar with the concept of hedge accounting. It's a valuable practice that helps businesses manage the risks associated with fluctuations in the market by offsetting gains or losses of financial instruments. However, implementing hedge accounting can be complex, and mistakes can be costly.

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Talk to a hedge accounting specialist

To find out how we can help you minimise accounting volatility and protect your financial results, schedule a call with our Founder or contact us today.